USE OF GOVERNMENT PROPERTY

§ 400.1100 Use of Government property.

If the title to or right of user of any of the property to be included in a zone is in the United States, an agreement to use such property for zone purposes may be entered into between the grantee and the department or officer of the United States having control of the same, under such conditions, approved by the Board and such department or officer as may be agreed upon.

VIOLATIONS OF PROVISIONS OF ACT OR REGULATIONS

§ 400.1200 Fine imposed for violation of act or regulations.

In case of a violation of the act or of any regulation under the act by the grantee, any officer, agent, or employee thereof responsible for or permitting any such violation shall be subject to a fine of not more than $1,000. Each day during which a violation continues shall constitute a separate offense. (Sec. 19, 48 Stat. 1003; 19 U.S.C. 818) § 400.1201

Revocation of grant.

that the order of the Board be set aside. Such order shall be stayed pending the disposition of appellate proceedings by the court. The clerk of the court in which such a petition is filed shall immediately cause a copy thereof to be delivered to the Board, and it shall forthwith prepare, certify, and file in the court a full and accurate transcript of the record in the proceedings held before it, under sections 18 (c) of the act (48 Stat. 1002; 18 U.S.C. 81r (c)), the charges, the evidence, and the order revoking the grant. The testimony and evidence taken or submitted before the Board, duly certified and filed as a part of the record, shall be considered by the court as the evidence in the case.

(Sec. 18, 48 Stat. 1002, as amended; 19 U.S.C. 81r)

RULES OF PROCEDURE AND PRACTICE § 400.1300 Headquarters.

The headquarters of the Board shall be the Department of Commerce, Washington, D.C.

The Secretary of Commerce, as Chairman and Executive Officer of the Board, shall appoint an Executive Secretary of the Foreign-Trade Zones Board. As principal operating official of the Board, the Executive Secretary shall:

(a) Represent the Board in all administrative, regulatory, and operational matters within the purview of the Board. (b) Direct the execution of the orders of the Board.

(c) Initiate recommendations to the Board for overall administration of the Foreign-Trade Zones Act.

(d) Conduct periodic inspection of the

zones.

(e) Provide information and advisory assistance to Federal, State, and Municipal agencies, to the business community, and to the general public.

(f) Arrange meetings of the Board and its Committee of Alternates, including provisions for minutes and necessary records.

(g) Maintain custody of the seal, records, files, and correspondence of the Board.

(h) Appoint staff members, including an Assistant Executive Secretary, who may act for him in his absence.

(i) Authorize in appropriate cases amendments to applications filed with the Board, except that no substantive

changes may be authorized after notice of a public hearing, or an invitation for comments, has been published.

(j) Approve in appropriate cases, with the prior recommendations of the District Director of Customs and the District Engineer, requests for minor modifications to zone boundaries which will not result in an expansion of zone operations.

(k) Approve in appropriate cases, with the prior approval of the District Director of Customs, requests to permit the use of alternate fencing to that specified in § 400.403.

(1) Perform such other duties as may be required by the Secretary of Commerce, as Executive Officer of the Board, and as the Board may direct.

[Order 74, 32 F.R. 13714, Sept. 30, 1967; as amended by Order 86, 36 F.R. 24930, Dec. 24, 1971]

NOTE: Order 86, 36 F.R. 24930, redesignating paragraph (i) is (1) and adding paragraphs (i), (j) and (k) is effective 30 days after publication.

§ 400.1302 Committee of Alternates.

Each member of the Board shall designate an alternate to serve on a Committee of Alternates. The alternate of the chairman of the Board shall be chairman of the committee. The committee shall review and prepare all matters for presentation to the Board, shall hold such hearings and rehearings as may be directed by the chairman of the Board, and shall perform all other duties designated by the Board except such as are specifically imposed by law on the Board. The committee shall meet at the call of its chairman.

(a) Meetings of the Board will be held on call of the Chairman. Two members of the Board shall be necessary for a quorum.

(b) At the option of the Chairman, the Board may conduct its business, including voting, without an actual meeting being held, provided that no Board member has requested a meeting. When business is so conducted, Board members may communicate their views and recommendations by such means as telephone and memorandum, but the votes of members shall be made in writing and submitted to the Executive Secretary for entry in the voting record.

(c) Final votes of each Board member, including dissenting votes, will be

(a) Two members of the Board shall be necessary for a quorum for the transaction of business.

(b) Meetings of the Board will be held on call of the Chairman and Executive Officer.

(c) Final votes of each Board member, including dissenting votes, will be recorded and the voting record of each proceeding shall be available for public inspection. [Order 74, 32 FR. 13715, Sept. 30, 1967] § 400.1304 Order of business.

The order of business at Board meetings shall be as follows:

(a) Reading of minutes of preceding meeting.

(b) Report of secretary of Board. (c) Amendments to regulations or rules.

(d) Applications for grants or amendments to grants.

con

(e) Consideration of matters nected with operation, maintenance, or administration of zones.

(f) Miscellaneous business. (g) Adjournment.

§ 400.1305 Authorization for hearings.

The Board, or its Chairman, may authorize hearings or rehearings. Such hearings will ordinarily be held before the Committee of Alternates. The Examiners Committee is authorized to hold hearings as provided in § 400.1309. [Regulations, June 29, 1935, as amended by Order 86, 36 F.R. 24930, Dec. 24, 1971]

NOTE: Order 86 amending § 400.1305 is effective 30 days after publication. For the convenience of the user, the superseded text is set forth below.

§ 400.1305 Authorization for hearings.

The Board on its own motion, or on application, may authorize hearings or rehearings.

400.1307 Applications.

Upon receipt of an application, the Executive Secretary of the ForeignTrade Zones Board will designate an examiner who will investigate the application and accompanying exhibits for compliance with the provisions of §§ 400.600 to 400.608.

[Order 47, 23 F.R. 5417, July 17, 1958] § 400.1308

Examiners Committee.

If the application and accompanying exhibits are in order, the Executive Secretary of the Foreign-Trade Zones Board will appoint an Examiners Committee and designate a chairman. This committee will consist of the examiner appointed by the Executive Secretary who has examined the application as provided in § 400.1307, the Regional Commissioner of Customs or his designee and the District Engineer in whose districts the proposed zone is to be located. The committee will then make a thorough investigation of the application and report its findings to the Board.

[Order 47, 23 F.R. 5417, July 17, 1958, as amended by Order 74. 32 F.R. 13715, Sept. 30, 1967]

§ 400.1309 Hearings before Examiners Committee.

In conducting its investigation the Examiners Committee is authorized to hold hearings and take evidence as provided in §§ 400.1316-400.1321.

Should the report of the Examiners Committee be unfavorable, notice will be sent to the applicant, who will be permitted to apply for permission of the Board to present further evidence in support of his application either orally, in writing, or both.

§ 400.1311 Rehearing on application.

Should the request of the applicant to submit further evidence be granted, the applicant will be notified and, if a hearing is desired, a date fixed therefor before the Committee of Alternates. § 400.1312

Action of Board on appli

cation. After the Board's consideration of the application is completed, unless further information is required by the Board, the grant will be made or denied.

§ 400.1313 Payment for inspection.

The Board shall specify, and applicants and grantees shall pay, the cost of inspection of construction. Prior to the issuance of a grant, the applicant shall deposit promptly with the district engineer a certified check in an amount specified as prescribed above, covering such cost. Certified checks in amounts specified by the Board will also be required to be deposited promptly by grantees with the district engineer covering costs of subsequent inspections of major alterations. In the event the amount originally specified is insufficient to pay for the cost of inspection, the Board shall specify the additional amount or amounts required, which shall be paid promptly by the applicant or grantee, as the case may be. Such funds shall be carried in a special deposit account by the district engineer in accordance with existing law and regulations. If certified checks, which have been deposited, are in amounts in excess of the cost of supervision of construction. the district engineer shall refund such

excess.

§ 400.1314

Construction of zone.

Construction will be under the superVision of the Secretary of the Army and Chief of Engineers; such supervision shall be exercised by the District Engineer who shall enforce compliance with the terms of the grant.

[Order 17, 14 F.R. 3671, July 2, 1949]

§ 400.1315 Evidence.

In its discretion, and upon its own motion or upon the motion of any interested party, the Board may give an opportunity to, or require, any party to any proceedings before the Board to present documentary or other written or oral evidence bearing upon any application, declaration, protest, petition, or complaint made to the Board. The Board may order that hearings be held for the purpose of taking testimony or receiving records not under the control of a party to proceedings before the Board, or for the purpose of taking testimony or producing records in connection with the establishment, operation, or maintenance of a zone, or with the conduct of any investigations appropriate to the administration of the act.

Redesignated by Order 29, 17 F. R. 5317, June 11. 1952]

66-032-72-24

When the Board of Examiners Committee of the Board deems it advisable to hold a local hearing, notice of such hearing should be sent to all interested parties in time for them to be present in person or to be represented at the hearing, and a copy of the notice should be furnished local newspapers. The notice should state the subject to be considered and when and where the hearing will be held, specifically designating the date, hour, and place. For the accuracy of the record, all important facts and arguments should be submitted in writing. As soon as the date and place for a hearing have been designated, the official or Examiners' Committee should immediately advise the Board direct so that it may have available full information on the proceedings.

[Redesignated by Order 29, 17 F.R. 5317, June 11, 1952]

§ 400.1318 Procedure at hearing.

The following general procedure will govern the conduct of hearings.

(a) Minutes of the proceedings will be made, and when deemed advisable, will be taken stenographically.

(b) A complete copy of the notice and a record of the names and addresses of all parties on whom served and the manner of service (whether by mail, telegraph, telephone, etc.), should be retained and made a part of the record.

(c) The presiding officer will impress upon all interested parties and will also specifically state at the commencement of the proceedings: first, the special purpose of the hearing; second, that it is desired to have a frank and full expression of the views of all interested parties and as complete a statement as possible of all information bearing upon the question at issue; third, that the Board will give full weight to all evidence and arguments presented at the hearing, and that all pertinent material which the parties wish considered should be brought out at the hearing; fourth, that later ex parte evidence and arguments are not desired by the Board unless it is clearly

shown that the matter is new and material and that there are good reasons why it could not be presented at the hearing.

(d) The presiding officer should read aloud such parts of the act and of the rules and regulations adopted by the Board as bear on the matter at hand. He should also read such other important papers bearing on the case, or extracts therefrom, as may be necessary for a full understanding of the status of the case and the data before the Board.

(e) The names and addresses of all parties of interest present or represented at the hearing will be recorded.

(f) The presiding officer will then invite and conduct a thorough and candid discussion of the case in all its bearings. [Redesignated by Order 29, 17 F. R. 5317, June 11, 1952]

§ 400.1319 Adjournment of hearing.

If it is alleged by any person that more evidence exists which could not be properly prepared in time for the hearing, the presiding officer will, at his discretion, either adjourn the hearing for a reasonable period, or may delay transmitting his report until after the receipt of such evidence and the expiration of a reasonable period for its examination by other interested persons. In such cases, definite statements as to the amount of time desired should be required. If no further hearing is held, it should be required that any additional evidence be submitted in typewritten or printed form, and the party submitting it should be required to serve a copy thereof on such other parties in interest as appeared at the hearing and to furnish proof of such service for the record. [Redesignated by Order 29, 17 F. R. 5317, June 11, 1952]

§ 400.1320 Record of proceedings.

The record of the proceedings should be made in quadruplicate, 3 copies for the Board and 1 for the office of the presiding officer. The record should be accompanied by a copy of the notice and list of those present, briefs or exhibits submitted in the case, and the recommendations of the officer or committee conducting the hearing on the points raised at the hearing. All of the above papers should be properly marked for reference and when possible bound together and submitted as a single exhibit. [Redesignated by Order 29, 17 F. R. 5317, June 11, 1952]

§ 400.1401

Public information activities.

The Executive Secretary of the Board shall conduct the following public information activities of the Board:

(a) Preparation and release of material published by or for the Board, including public announcements, items for publication in the FEDERAL REGISTER, news releases, and reports.

(b) Clearance for release of informational material from other agencies referred to the Board for review.

(c) Release of general information pertaining to Board activities, rules and regulations and, at his discretion, information contained in Board records as necessary to further the regular information dissemination activities of the Board.

(d) Development and direction of measures to provide the international business community with information pertaining to the establishment, operation and administration of U.S. ForeignTrade Zones.

§ 400.1402 Availability of materials for inspection and copying.

(a) The Board shall utilize the facilities and services of the Central Reference and Records Inspection Facility, U.S. Department of Commerce, Washington, D.C. 20230, to make available for public

(a) The procedures of this section are applicable only to those records not customarily available to the public as part of the regular information activities of the Board.

(b) The Board shall utilize the facilities and services of the Central Reference and Records Inspection Facility, U.S. Department of Commerce, Washington, D.C. 20230, to make available for public inspection and copying identifiable records which have been determined to be disclosable pursuant to 5 U.S.C. 552(a) (3).

(c) Rules and procedures prescribing the hours of operation, location, fees, and other requirements for public inspection of records through the central facility are contained in Part 4 of this title. § 400.1404 Determinations of availability of records.

(a) In accordance with the rules, regulations, and procedures governing the operation of the Central Reference and Records Inspection Facility of the U.S. Department of Commerce, a request for the determination of availability of a record of the Board will be referred to the Executive Secretary of the Board who shall initially determine:

(1) Whether the requested record can be identified on the basis of information contained in the request. If the record cannot be identified the request shall be returned to the person who initiated it and he shall be advised why the record is not identifiable and what additional clarification, if any, he may submit to assist in the identification of the record

(2) Whether the record, if identifiable, is still in existence or has been destroyed as provided by law, or is not in the possession of the Board. If the record no longer exists, the person who initiated the request will be notified, with the reason stated. If the record is not in the Board's possession and its existence is not otherwise reasonably ascertainable, the person who initiated the request shall be so notified. If the requested record is the